How to get a home loan with a five per cent deposit
FROM today, first home buyers can apply to First Home Loan Deposit Scheme lenders to build a new home or purchase a newly built home with a deposit of as little as five per cent.
Federal Minister for Housing Michael Sukkar the scheme will help buyers get into homes quicker.
"As part of the Morrison Government's Economic Recovery Plan to create jobs, rebuild our economy and secure Australia's future, 10,000 first home buyers will be able to purchase a new home sooner under our extended First Home Loan Deposit Scheme," he said.
"These additional guarantees will be available until June 30, 2021 and will drive more construction and support jobs in the economy at a time its needed most."
So far the First Home Loan Deposit Scheme has been accessed by almost 20,000 buyers.
"In September, the Australian Bureau of Statistics' lending indicators data showed that first home buyers are flooding into the housing market, with the number of loans to first home buyers reaching the highest number in over a decade," Mr Sukkar said.
"The total number of owner occupier first homebuyer loan commitments rose 6.0 per cent to represent 40 per cent of the total number of owner occupier loans issued in September."
The following lenders are ready to accept applications for a guaranteed loan to build a new home or purchase a newly built home:
- Australian Military Bank
- Defence Bank
- P&N Bank
- Australian Mutual Bank
- G&C Mutual
- People's Choice
- Bank Australia
- Gateway Bank
- Bank of Us
- IBA Group
- Qld Country Bank
- Bendigo Bank
- The Mutual
- Regional Australia Bank
- Commonwealth Bank
- WAW Credit Union
- Community First
- National Australia Bank
From November 9, 2020 onwards, the following lenders will begin to accept applications for a guaranteed loan to build a new home or purchase a newly built home:
- Auswide Bank
- Credit Union Australia
- Police Bank
- Bank First
- Teachers Mutual Bank
- Beyond Bank
Eligible first home buyers will also be able to take advantage of the HomeBuilder scheme and First Home Super Saver Scheme, and may also be eligible for state and territory grants and concessions.
Originally published as How to get a home loan with a five per cent deposit